Figure IND 1a. Percentage of Total Income from Means-Tested Assistance Programs: 2004

Source: Unpublished tabulations from the Current Population Survey, Annual Social and Economic Supplement, 2005, analyzed using the TRIM3 microsimulation model.

Only 3.7 percent of the total population in 2004 received more than half of their total family income from TANF, food stamps and SSI. As shown in Table IND 1b, the percentage of families dependent on public assistance has dropped dramatically since 1993, with most of the decline occurring between 1996 and 2000. Since 2000, there have been small increases in dependency each year resulting in a shift from 3.0 to 3.7 percent.

15 percent of the overall population received at least one dollar in means-tested assistance in 2004. However, for 59 percent of these individuals (9 percent of the total population), such assistance represented 25 percent or less of annual family income. The vast majority (85 percent) of the population received no means-tested assistance in 2004.

As shown in Table IND 1a, individuals living in female-headed families were much more likely to be dependent on assistance from means-tested programs (more than 50% of total income from means-tested programs) than individuals in married-couple or male-headed families (13.8 percent compared to 1.0 and 4.0 percent respectively).

In 2004, about one in four individuals receiving some public assistance reported that TANF, food stamps and SSI accounted for more than half of their total family income. This number reflected a decline in dependence since 1993, when more than one in three individuals receiving public assistance were dependent on it.

Table IND 1a. Percentage of Total Annual Family Income from Means-Tested Assistance Programsby Race/Ethnicity and Age: 2004

0%

> 0% and <= 25%

> 25% and <= 50%

> 50% and <= 75%

> 75% and <= 100%

Total > 50%

All Persons

85.0

8.8

2.5

1.1

2.5

3.7

Racial/Ethnic Categories

Non-Hispanic White

89.9

6.4

1.5

0.7

1.5

2.2

Non-Hispanic Black

67.6

16.2

6.1

2.9

7.1

10.0

Hispanic

77.4

13.4

4.1

1.8

3.4

5.2

Age Categories

Children Ages 0-5

75.4

12.6

5.0

2.6

4.5

7.1

Children Ages 6-10

77.8

11.6

4.6

2.2

3.8

6.0

Children Ages 11-15

79.6

11.3

4.0

1.9

3.2

5.1

Women Ages 16-64

85.0

8.9

2.4

1.1

2.6

3.7

Men Ages 16-64

88.4

7.6

1.6

0.5

1.9

2.4

Adults Ages 65 and over

90.0

6.2

1.6

0.8

1.5

2.2

Family Categories

Persons in Married-Couple Families

91.4

6.3

1.3

0.4

0.7

1.0

Persons in Female-Headed Families

57.4

19.9

9.0

4.8

9.0

13.8

Persons in Male-Headed Families

78.1

14.4

3.6

1.5

2.5

4.0

Unrelated Individuals

87.3

7.0

1.2

0.5

4.0

4.5

Note: Means-tested assistance includes TANF, SSI and food stamps. Total >50% includes all persons with more than 50 percent of their total annual family income from these means-tested programs. Income includes cash income and the value of food stamps. Spouses are not present in the Female-Headed and Male-Headed family categories.

Persons of Hispanic ethnicity may be of any race. Beginning in 2002, estimates for Whites and Blacks are for persons reporting a single race only. Persons who reported more than one race are included in the total for all persons but are not shown under any race category. Due to small sample size, American Indians/Alaska Natives, Asians and Native Hawaiians/Other Pacific Islanders are included in the total for all persons but are not shown separately.

Source: Unpublished tabulations from the Current Population Survey, Annual Social and Economic Supplement, 1994-2005, analyzed using the TRIM3 microsimulation model.

Table IND 1b. Percentage of Total Annual Family Income from Means-Tested AssistancePrograms: 1993-2004

0%

> 0% and <= 25%

> 25% and <= 50%

> 50% and <= 75%

> 75% and <= 100%

Total > 50%

See above for note and source.

1993

83.4

7.8

3.0

1.8

4.1

5.9

1994

82.8

8.4

3.1

1.8

4.0

5.8

1995

83.2

8.5

3.1

1.8

3.5

5.3

1996

84.0

7.8

3.1

1.9

3.3

5.2

1997

85.3

7.7

2.5

1.5

3.1

4.5

1998

86.5

7.3

2.5

1.3

2.5

3.8

1999

86.7

7.7

2.3

1.1

2.2

3.3

2000

87.5

7.3

2.2

1.0

2.0

3.0

2001

87.4

7.3

2.2

1.0

2.1

3.1

2002

86.8

7.8

2.3

1.0

2.1

3.2

2003

85.9

8.2

2.4

1.1

2.4

3.6

2004

85.0

8.8

2.5

1.1

2.5

3.7

Figure IND 1b. Percentage of Total Annual Income from Various Sources, by Poverty Status: 2004

Source: Unpublished tabulations from the Current Population Survey, Annual Social and Economic Supplement, 2005, analyzedusing the TRIM3 microsimulation model.

Those in families with income below the poverty level received almost half (48 percent) of their total family income from earnings and 31 percent of their total family income from means-tested assistance programs (TANF, SSI and food stamps) in 2003. In contrast, those with family income over 200 percent of the poverty level received the majority (87 percent) of their income from earnings and less than one percent of their income from means-tested assistance (a percentage so small that it is not visible in Figure IND 1b).

The percentage of family income received from earnings is inversely proportional to overall family income relative to the poverty line. For example, the percentage of income received from earnings for persons living in deep poverty (below 50 percent of poverty) was only 26 percent, compared to 48 percent for all poor persons in 2004.

On average, persons in married-couple families rely on earnings more and on means-tested assistance programs less than persons in other families at all income levels, as shown in Table IND 1c.

The percentage of income received from earnings for families with incomes below the poverty level has increased over time, as shown in Table IND 1d. In 1995, poor families received only 40 percent of their income from earnings; this percentage rose to 48 percent in 1998 and has remained above 45 percent ever since. Over the same time period, there was a decline in the percentage of income from means-tested programs among poor families from 41 percent in 1995 to 31 percent in 2004.

Table IND 1c. Percentage of Total Annual Family Income from Various Sources, by Poverty StatusRace/Ethnicity and Age: 2004

< 50% Poverty

< 100% of Poverty

< 200% of Poverty

200% + of Poverty

All Individuals

All Persons

TANF, SSI and Food Stamps

58.4

31.1

10.4

0.2

1.2

Earnings

25.7

48.2

67.2

86.8

84.9

Other Income

15.9

20.7

22.4

13

13.9

Racial/Ethnic Categories

Non-Hispanic White

TANF, SSI and Food Stamps

49

27.9

7.9

0.1

0.6

Earnings

29.6

44.1

61.4

85.8

84.3

Other Income

21.5

28

30.7

14.1

15.1

Non-Hispanic Black

TANF, SSI and Food Stamps

69.8

43.4

18.5

0.5

4.2

Earnings

17

36.6

60.3

87.3

81.8

Other Income

13.2

20

21.2

12.1

14

Hispanic

TANF, SSI and Food Stamps

56.5

24.5

9

0.5

2.6

Earnings

31.5

64

81.1

92.1

89.4

Other Income

12

11.5

9.9

7.4

8

Age Categories

Children Ages 0-5

TANF, SSI and Food Stamps

65

35.5

13.3

0.2

2.3

Earnings

23.5

53.6

78

94.4

91.9

Other Income

11.5

10.9

8.7

5.3

5.9

Children Ages 6-10

TANF, SSI and Food Stamps

63.6

34.1

12.3

0.2

2

Earnings

23.8

52.1

76.2

93.4

90.9

Other Income

12.6

13.9

11.5

6.4

7.2

Children Ages 11-15

TANF, SSI and Food Stamps

63.8

34.4

12.1

0.2

1.7

Earnings

22.2

50

73.8

92.1

89.8

Other Income

14.1

15.6

14.1

7.7

8.5

Women Ages 16-64

TANF, SSI and Food Stamps

55.4

31.1

11

0.2

1.1

Earnings

27

48.4

71

89.3

87.8

Other Income

17.6

20.4

18.1

10.5

11.1

Men Ages 16-64

TANF, SSI and Food Stamps

48.5

26.3

8.3

0.2

0.7

Earnings

32.5

53

75

90.5

89.5

Other Income

19

20.8

16.7

9.3

9.8

Adults Ages 65 and over

TANF, SSI and Food Stamps

39.6

23.3

6.6

0.3

1.1

Earnings

3.7

5

9.3

38.6

34.9

Other Income

56.8

71.7

84

61.1

64

Family Categories

Persons in Married-Couple Families

TANF, SSI and Food Stamps

45.9

20.6

6.1

0.1

0.5

Earnings

37.9

64.8

76.2

87.7

87

Other Income

16.2

14.6

17.7

12.1

12.5

Persons in Female-Headed Families

TANF, SSI and Food Stamps

68.8

44.6

21.2

1

7

Earnings

17.2

36.1

57.6

80.9

74.1

Other Income

14

19.4

21.2

18

19

Persons in Male-Headed Families

TANF, SSI and Food Stamps

55.1

28.7

11.2

0.6

2.1

Earnings

30.5

51.4

72.5

86.9

84.9

Other Income

14.4

19.9

16.3

12.5

13.1

Note: Total income is total annual family income, including the value of food stamps. Other income is non-means-tested, nonearnings income such as child support, alimony, pensions, Social Security benefits, interest and dividends. Poverty status categories are not mutually exclusive. Spouses are not present in the Female-Headed and Male-Headed family categories.

Persons of Hispanic ethnicity may be of any race. Beginning in 2002, estimates for Whites and Blacks are for persons reporting a single race only. Persons who reported more than one race are included in the total for all persons but are not shown under any race category. Due to small sample size, American Indians/Alaska Natives, Asians and Native Hawaiians/Other Pacific Islanders are included in the total for all persons but are not shown separately.

Source: Unpublished tabulations from the Current Population Survey, Annual Social and Economic Supplement, 2005, analyzed using the TRIM3 microsimulation model.

Table IND 1d. Percentage of Total Income from Various Sources: Selected Years

< 50% Poverty

<100% of Poverty

<200% of Poverty

200% + of Poverty

1995

AFDC, SSI and Food Stamps

65.9

41.3

14.2

0.3

Earnings

22.5

40.4

64.8

85.4

Other Income

11.6

18.3

21.0

14.3

1998

TANF, SSI and Food Stamps

58.9

32.0

10.6

0.2

Earnings

27.0

47.9

67.8

85.3

Other Income

14.1

20.1

21.6

14.5

2000

TANF, SSI and Food Stamps

54.3

30.3

9.8

0.2

Earnings

30.5

49.5

68.7

86.7

Other Income

15.2

20.3

21.5

13.0

2004

TANF, SSI and Food Stamps

58.4

31.1

10.4

0.2

Earnings

25.7

48.2

67.2

86.8

Other Income

15.9

20.7

22.4

13.0

Source: Unpublished tabulations from the Current Population Survey, Annual Social and Economic Supplement, 1996-2005, analyzed using the TRIM3 microsimulation model.

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